iHeartMedia cut its 2026 Adjusted EBITDA outlook by as much as $250 million, and SueWallSt said it was reviewing potential securities claims for investors who suffered losses.
The company lowered its target to $550 million-$600 million on Nov. 9, from approximately $800 million in August. The revised range is $200 million-$250 million below the earlier target.
SueWallSt, a service powered by Levi & Korsinsky LLP, announced its review Nov. 11. The notice described an investigation on behalf of investors who lost money, not a filed lawsuit or a court finding. EconoTimes previously covered a SueWallSt review after DraftKings cut its outlook.
For the quarter ended Sept. 30, iHeartMedia reported revenue of $1.03 billion, up 3.3% from a year earlier. Revenue excluding political advertising rose 0.9%. Adjusted EBITDA declined 16.7% to $170.5 million, below the company’s previous forecast of $180 million-$220 million.
The Multiplatform Group, which includes broadcast radio, reported revenue down 4.9% to $562.4 million and Adjusted EBITDA down 42.9% to $68 million. Digital Audio revenue, including podcasting, increased 13.8% to $388.7 million.
On the Nov. 9 earnings call, iHeartMedia Chairman and CEO Bob Pittman said political ad revenue fell short of expectations, while some larger advertisers held spending until after the election. He estimated that the political-revenue gap accounted for roughly one-third of the quarter’s revenue underperformance. Pittman also cited a shift toward programmatic audio buying and a tougher economic backdrop. He said some political ad spending might have spilled over to radio if local television inventory had sold out.
For the fourth quarter, iHeartMedia forecast revenue growth in the mid-single digits and Adjusted EBITDA of $135 million-$185 million.
